Quantum Computing Risks Threaten Bitcoin, Ethereum Security

Recent research from Mysten Labs and Sui Research highlights significant quantum computing threats to blockchain security, particularly for Bitcoin and Ethereum, which rely on the Elliptic Curve Digital Signature Algorithm (ECDSA). These older blockchains face major challenges in upgrading to quantum-resistant algorithms, requiring disruptive hard forks involving address changes and fund migrations. In contrast, newer blockchains like Solana, Sui, Near, and Cosmos, which use the Edwards-curve Digital Signature Algorithm (EdDSA), benefit from a novel, backward-compatible quantum-safe upgrade that avoids hard forks, address modifications, and key updates. Kostas Chalkias, co-founder of Mysten Labs and a cryptographer involved in the new framework, emphasized that governments are mandating the phase-out of classical cryptography by 2030 or 2035, making post-quantum security essential for blockchains supporting sovereign assets or national treasuries. Meanwhile, initiatives like the alliance between 01 Communique and a quantum-native crypto foundation aim to develop quantum-safe tokens and wallets compatible with existing blockchains, including Bitcoin and Ethereum. Despite these advances, Bitcoin and Ethereum remain exposed to quantum attacks until they adopt similar quantum-resistant mechanisms, underscoring an urgent need for scalable solutions to secure the future of digital assets.